Equinor Orders $180mn of Work from TechnipFMC

Norway's Equinor has awarded two contracts and issued a letter of intent (LoI) to London-based TechnipFMC for pipelaying and subsea installation at three offshore Norwegian projects, it announced on June 23.

The two contracts cover work at the Breidablikk oil discovery and the Snorre gas import system, whereas the LoI is for the Askeladd Vest gas project. The contract at Breidablikk includes an option for subsea installation. Combined, the assignments are worth some kroner 1.8bn ($190mn), Equinor said. 

"Giving three assignments to the same supplier enables efficiency gains and cost savings," Equinor's chief procurement officer Peggy Krantz-Underland said. "It will also allow for a coordinated follow-up of the total delivery during the implementation phase. This creates value for all parties."

The Snorre gas import system is part of the Snorre expansion project and aims to lay a new 24-km pipeline between the Gullfaks and Snorre fields in 2021 and 2022. Equinor's partners in the venture are Petoro, Var Energi, Idemitsu Petroleum and Wintershall Dea.

Pending a final investment decision (FID), expected later this year, Breidablikk will be developed as a tie-back to the Grane platform. Equinor is partnered there with Petoro, Var Energi and ConocoPhillips. An FID is also scheduled this year at Askeladd Vest, due to be tied back to templates at the Askeladd field. Other project shareholders include Petoro, Total, Neptune Energy and Wintershall Dea.

Equinor and other producers have announced a raft of new investments since Norway's parliament earlier this month approved some kroner 100bn ($10.6bn) in tax relief for the offshore industry.